Summary of Michigan Alimony Law

Alimony (referred to in Michigan as spousal support) is the court-ordered financial support of one spouse by the other spouse as part of a legal separation or a divorce.

The laws of Michigan governing alimony are generally contained in Sections 552.1 to 552.46 of the Michigan Compiled Laws (a link here).

It is a good idea to read the statutes carefully and to consult an attorney to determine the laws’ application in your particular situation.

Factors Affecting the Amount and Duration of Alimony in Michigan

In Michigan, alimony is not mandatory in a divorce or legal separation. A court may decide not to grant alimony or to limit the amount and duration of alimony depending on the ability of both parties to provide for their own needs.

Michigan law states that a court may require either party to pay alimony for the “suitable maintenance” of the other party, “to pay such sums as shall be deemed proper and necessary to conserve any real or personal property owned by the parties or either of them.”

Michigan law allows for alimony to be paid in periodic payments or as a lump sum. In determining whether to award alimony or the amount of alimony, a court considers what is “just and reasonable, after considering the ability of either party to pay and the character and situation of the parties, and all the other circumstances of the case.”

A court may consider a variety of factors when determining whether to grant alimony. Some of these factors are:

• • Past relations and conduct of the parties, including fault in the breakdown of the marriage
• • Length of the marriage
• • Prior standard of living of the parties
• • Whether either party is responsible for the support of others
• • The parties’ ability to work
• • Amount and source of property awarded to the spouses
• • Ability of the parties to pay spousal support
• • Ages of the parties
• • Needs, health, and present situation of the parties
• • General principles of equity

Modifying or Terminating Orders for Spousal Support

A court may increase or decrease the amount of money paid as alimony if either spouse requests it from a court and if circumstances have changed since the original judgment for support. Some examples of a change in circumstances that might warrant a modification of a support order would be remarriage, cohabitation, changes in need, changes in ability to pay, retirement, or the death of the payor.

If a court determines that a change of circumstances has occurred, it considers all of the circumstances to determination the nature of the support modification.

When do Alimony Payments End?

In general, permanent alimony terminates when either party dies or when the recipient remarries.

Tax Consequences of Alimony

It is important to understand that there may be tax implications for individuals who pay or receive alimony. According to Section 71 of the Internal Revenue Code, alimony must be included in the recipient’s gross income and can be excluded from the payer’s gross income.

However, it is critical that payments actually qualify as alimony under the law. To qualify as alimony (also according to Section 71 of the Internal Revenue Code), payments must generally meet five conditions:

• (1) The payment is be a cash payment (such as a check or money order)
• (2) The payment is received by (or on behalf of) a spouse under a “divorce or separation instrument”
• (3) The divorce or separation instrument does not designate the payment as a payment which is not includible in gross cross income as alimony and not allowable as a deduction for the payee spouse (under Section 215 of the Internal Revenue Code).
• (4) The payer and payee are not members of the same household at the time payments are made
• (5) There is no liability to make payments after the death of the recipient spouse